Hi Guys,
If you're coming here to comment about Apple vs Real, look at this first. If you know this stuff, that's cool; if you don't...you should.
I can't believe someone actually picked on my grammar. Is that a sure sign I won or what!!? (ducks)
One more interesting point from an email I got:
"...Please consider Apple's ability to continue making iPods profitably if they open up. Consider the example of Palm that nearly went bankrupt trying to both control the platform and make the widget. You may saythat either it is not possible or that it doesn't matter, the platformis the prize --> sacrifice the iPod for AAC/Fairplay platform ?"
OK. First, the point is not to consider not only what they gain or lose by
doing it, but what they gain or lose by
not doing it. I've argued they lose more by
not opening than they lose by opening. Second,
opening the platform does not sacrifice iPod sales. Sure, it's possible that Real might try and out a competitor, but, as I've argued before, the iPod has
no real competitors, because Apple's competitors don't understand the value drivers in this market. And they won't for quite a while. So the iPod absolutely owns the market. Creating a standard around iTunes/iPod would, if anything,
drive sales - by creating a thriving market for complements (more of them, available more cheaply, than Apple's currently limited selection).